Australia lowers proposed backpacker tax

Australia plans to impose a 15 percent tax on seasonal workers from abroad with a controversial “backpacker tax” proposal. The government originally wanted to set the tax rate at 32.5 percent, but it has halved that figure after coming under pressure from farmers and tourism operators. Some 600,000 backpackers head to Australia each year, providing a source of seasonal labor at harvest time. Until now, they have been exempt from paying tax on earnings under 18,200 Australian dollars.